The U.S. Department of Housing and Urban Development released the HUD fiscal year 2024 budget proposal, which lays out a comprehensive plan to address the country’s housing crisis, reduce inequality, and enhance affordability and accessibility of housing.
The budget request comes with a significant investment of $65.1 billion, an increase of 15% over the 2023 enacted level, and is aligned with the Biden-Harris Administration’s priorities of ensuring housing for all, reducing poverty, and expanding economic opportunity.
Expanding Assistance and Mobility for Low-Income Families
The budget proposes $32.7 billion for the Housing Choice Voucher (HCV) Program to maintain services for currently assisted families and expand assistance to an additional 50,000 households. The program will offer mobility-related supportive services worth $25 million to provide low-income families with more options to move to higher-opportunity neighborhoods.
The budget additionally includes $1.8 billion for the HOME Investment Partnerships Program (HOME), which would construct and rehabilitate affordable rental housing and provide homeownership opportunities. The proposed budget also provides $258 million for the elderly and persons with disabilities.
The HUD Project-Based Rental Assistance (PBRA) program provides more than 1.3 million low-income and very low-income families with decent, safe, and affordable housing. Without this assistance, many currently affordable properties would either convert to market rates or would be unable to generate enough rental income to be maintained in adequate living conditions.
Ending Homelessness and Providing Support
To prevent and reduce homelessness, the budget proposes $3.7 billion for, renewing needs and expanding assistance to approximately 25,000 additional households. The Budget also provides $505 million for Housing Opportunities for Persons with AIDS, serving a population with a disproportionately high rate of homelessness.
Combating Housing Discrimination and Increasing Homeownership Opportunities
The budget proposes to prevent and redress housing discrimination by allocating $90 million to support state and local fair housing enforcement organizations and to promote education, outreach, and training on rights and responsibilities under federal fair housing laws.
The budget also aims to expand access to homeownership for underserved borrowers by reducing the annual mortgage insurance premiums new borrowers will pay by about one-third. It will save the average FHA borrower approximately $800 in the first year of their mortgage loan. The budget includes $100 million for a HOME down payment assistance pilot and $15 million to increase the availability of FHA small balance mortgages.
Fiscal Year 2024 Budget Proposal Aims
HUD’s FY24 budget proposal represents a significant investment in addressing the country’s housing crisis and promoting equity in housing and homeownership. The plan aims to increase affordable housing supply, enhance household mobility, combat housing discrimination, and end homelessness.
If enacted, the HUD budget will contribute to achieving the Biden-Harris Administration’s goal of ensuring that every American has access to safe, affordable, and dignified housing.
The press conference was opened by Beth Link, HUD assistant secretary for public affairs, followed by brief remarks by deputy secretary Adrianne Todman, FHA commissioner Julia Gordon, Principal Deputy assistant secretary for Community Planning and Development, Marion McFadden, General Deputy assistant secretary for public and Indian housing, Dominique Blom and Senior policy advisor for fair housing and equal opportunity Chang Chiu.